BankThink

Robo-Advisers Aren't All They're Cracked Up to Be

10/07/15

Robo-advisers have myriad conflicts of interest and fall short of the standard of care under fiduciary investment law. The Labor Department's endorsement of these algorithmic investment guides seems curious and misplaced.

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Morning Scan: CFPB Oversight, Arbitration Rules; Pandit's Latest Fintech Venture

10/07/15

Receiving Wide Coverage ...

Pandit's Adventures in Fintech: Vikram Pandit has taken a stake in money transfer startup TransferWise. The ousted Citigroup executive has made a number of ventures in the fintech space since he left Citi in 2012, the Wall Street Journal says, including in marketplace lending startup Orchard Platform and student lending platform CommonBond. The exact value of his investment was not disclosed. TransferWise allows users to send and receive money at lower costs...

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Why Gender Quotas Won't Help Women in Banking

10/06/15

Women in banking and finance face plenty of obstacles in their efforts to ascend to senior positions. But quotas only serve to reinforce the assumption that women are less capable and talented than their male counterparts.

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Morning Scan: Fed Banks' Payouts; Cutting Coal Mining

10/06/15

Receiving Wide Coverage…

U.K. to Sell $3B Stake in Lloyds: The British government is planning to sell its stake in Lloyds Banking Group as it prepares to exit its ownership of the lender next spring. Proceeds of the sale will be used to pay down national debt, the Treasury has said. About $3 billion of shares are being offered to the general public at a 5% discount, and there will likely be a sale to institutional...

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Fintech (the Word, That Is) Evolves

10/05/15

The term has gone from a common brand name to a catch-all for innovative technologies in financial services to a somewhat patronizing plural noun to describe startups and their founders.

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Yes, Payday Borrowers Are Forced to Take Out More Loans

10/05/15

Borrowers are faced with two terrible choices: take out another exploitative loan because of the shortfall created by the first, or face a range of catastrophic consequences associated with defaulting.

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Risk-Sharing Is No Substitute for Capital at Fannie and Freddie

10/05/15

If we can't identify adequate capital to bear mortgage credit losses when they are incurred, aren't we setting ourselves up for another series of bailouts in the next housing downturn?

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Morning Scan: Bernanke's Memoir, Banker Deaths Scrutinized

10/05/15

Receiving Wide Coverage...

Ben's Book Tour: Ben Bernanke's memoir detailing his role in America's response to the financial crisis, titled "The Courage to Act," is set to be released Monday. While reviews have yet to come out, the book received some criticism for its debatably hyperbolic title when it was announced in April. ...

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Friday Flashback: When Banks and Their Customers Feared Direct Deposit

10/02/15

"Pricing will have to be changed," American Banker declared in 1977, "to help motivate banks to start such programs with their own customers."

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Marketplace Lenders' Cool Factor Spells Trouble for Banks

10/02/15

While large banks are risk-averse, conformist and bureaucratic, marketplace lenders are inspiring the best and the brightest with their high-energy cultures.

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